USRobotics Voice over the Internet – USB Telephone Adapter
“Make and receive Skype calls using your existing telephone!”
Agenda
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The Skype™ Voice over the Internet Application
USRobotics Telephone Adapter
Who will use it (buy it)
Industry trends
Other Skype compatible solutions
USRobotics USB Internet Speakerphone
 USB Internet Phone
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Whatisis it?
What
?
Skype Software/Service - What is it?
 A simple Instant Messaging tool
 With multi-party messaging & quick file transfer
 Without application-sharing like MSN Messenger
 A simple, high-quality voice communication tool
 IM-like Point-and-click call/answer
 Limited but simple call management: Conference call, busy,
voicemail
 Convenient – See who’s available
 Best-in-Class voice quality
 A community & lifestyle
 Users do the marketing
 NO subscription, NO contract, NO money to Start
 And the cheapest rates around for PSTN
Skype Software/Service - What is it?
 Skype is a form of Voice over Internet Protocol (VoIP):
Has a signaling protocol - call, answer, hold, conference call, etc.
 Has a transport protocol - digitize and send voice over the Internet
 BUT it is not standards-based – Internet calling is Skype-to-Skype
or Skype-Out service to other phone numbers
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 Skype provides PC application
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No provisioning is needed
 Versus Conventional VoIP operators, who
Provide Infrastructure
 Purchase standards-based equipment (softswitches, VoIP routers)
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 Standards allow them to mix equipment vendors . . . In theory
Tier1 operators (Telcos/PTTs) can provide phone-like service
 No regulatory barriers to providing Internet-to-Internet calling
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Skype is recognized!
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ZDNet Research – January 2006
Google, Apple, Skype, Starbucks, Ikea, Nokia, Yahoo!, Firefox, eBay and Sony were named the top
global brands in 2005 annual survey by brandchannel.com.
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Wainhouse Research - November 2005
In the latest report from Wainhouse Research's quarterly WebMetrics research program, 70% of
panelists who used Skype in the last six months found the VoIP service acceptable for business calls.
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Sandvine Inc. – August 2005
With over 1,100 VoIP providers identified, Skype takes the lead and garners an astounding 35.8% of
all VoIP calls in the US. Skype takes an even more commanding lead of 46.2% when it comes to
share of minutes, suggesting that Skype users are also making longer calls. Other PC-based VoIP
services like Microsoft, Yahoo and AOL chat are distant seconds.
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CNET Editors’ Choice February 2005.
Skype 1.1 has been named CNET Editors’ Choice by the CNET Product Reviews Team; awarded to
products that display excellence in performance, quality, product design, and value.
TIMES ONLINE Doors Award.
SkypeOut is “This year’s notable telephonic improvement” and awarded the ‘Look, No Phone’-Award.
TMC Internet Telephony VoIP Service Provider Award.
Winner of VoIP Service Provider Award by TMC’s INTERNET TELEPHONY Magazine.
In the Top 100 private companies in the IP Communications Industry to watch in 2005.
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USRobotics USB Telephone Adapter
The USRobotics USB Telephone Adapter is . . .
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Skype™ Certified solution that is an easy way to integrate Skype calling with POTS phone calls
A full-featured voice communications option which includes:
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Skype Call Forwarding − Reduce missed calls by forwarding Skype calls to your mobile phone
Advanced Call Waiting − Notification of incoming calls, Skype or PSTN, and the ability to switch between
them
Toll Bypass − Make Skype calls from your mobile phone, bypassing long-distance or international charges
Conference Calling − Conduct 3-way conferences between Skype calls and regular telephone calls
Caller ID − Displays Skype user name or PSTN Caller ID*
An incredibly flexible solution for FREE Internet calling with high quality audio, providing improved
call quality when compared to PC sound-card options
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Includes integrated echo cancellation, advanced audio compression and powerful signal processing
*PSTN Caller ID requires service from the PTT/Telco
USR9620 Capabilities
 Makes Skype to Skype calls
USR9620 Capabilities
 Makes Landline to Landline (POTS to POTS) Calls
USR9620 Capabilities
 Call Waiting - Switches between Landline (POTS) and
Skype Calls
USR9620 Capabilities
 Conference Landline (POTS) and Skype Calls
USR9620 Capabilities
 Forward your Skype Calls to a predetermined number
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Skype calls can always reach you
USR9620 Capabilities
 Bypass LD/International LD using local call plus Skype
USR9620 Capabilities
 Bypass LD/International LD using Skype to dial through your home
or office
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USB Telephone Adapter acts as you personal “operator” assistant
How the USRobotics USB Telephone Adapter Works
 The USB Telephone Adapter connects to both your standard telephone line and,
via a USB connection, to a computer with a broadband Internet connection
 A second telephone port allows connection to a standard (or cordless) telephone
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In a cordless environment all phones in this cluster would have access to Skype calling
as well as normal telephone calling
Who will use it?
 Target Markets
USB Telephone Adapter
Who is the target?
 International families
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Living apart
 College students
 Business travelers
 Small businesses
USB Telephone Adapter
Who is the target? Current Skype Customer
 Skype Savvy
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Currently uses Skype and:
 Wants to improve quality of phone calls (reduce echo, improve sound quality)
 Wants a more traditional call feel (i.e. handset rather than PC microphones or
headsets)
 Wants to expand Skype calling throughout the home (using a cordless
phone)
 Wants to never miss a Skype call because they aren’t near their computer
 International call characteristics
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Uses pre-paid calling cards
Calls overseas often
Is driven to reduce calling charges
 Business to business users
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Needs low cost telephony solution
Holds meeting with vendors over Skype
Skype customers typically use Skype calling as an adjunct or addition to their
traditional telephone service, unlike Vonage type customers
 Emergency service (eg. 911 in the US) is not an issue
Voice over the Internet - Industry Trends
Skype Market
VoIP in general, and Skype specifically, represent
“disrupting” technologies for traditional phone companies
 “I knew it was over when I downloaded Skype. When the inventors of
KaZaA are distributing for free a little program that you can use to talk
to anybody else, and the quality is fantastic, and it’s free – it’s over.
The world will change now inevitably.”
Michael Powell, Former FCC Chairman
 “The idea of charging for calls belongs to the last century. Skype
software gives people new power to affordably stay in touch with their
friends and family by taking advantage of their technology and
connectivity investments.”
Niklas Zennström, CEO & Co-founder of Skype
Leading research organizations expect Voice on the Internet
to rapidly expand in businesses and homes
 Info-Tech Research
The rapid adoption of Voice over IP (VoIP) is killing off traditional telephony, with 50 percent of
small- to mid-sized enterprises expected to rely on VoIP by 2008 . . . study found that 23
percent of small- to mid-sized enterprises are already using VoIP technology.
 IDC
Fueled in part by consumers looking to add value to their telephony service, IDC expects that the
number of U.S. subscribers to residential VoIP services will grow from 3 million in 2005 to 27
million by the end of 2009.
 Insight Research
. . . the
global market for VoIP will reach $82 billion in 2005 and $196.5 billion by 2007. Much of
this growth is driven by businesses, but Gartner predicts that by 2008, almost 20% of US
homes will have VoIP telephones.
 Light Reading – Article from June 2005
Calls using Skype Technologies SA account for nearly half of the VoIP minutes used (46.2
percent) and about 40 percent of the VoIP bandwidth used in North America, according to an
analysis done by broadband management company Sandvine
Skype communications is booming!
Skype Subscriber Growth
Registered Skype Users (Millions, Global)
 Over 1 million new users per
week
 Over 3.5 million simultaneous
users during peak hours
 57M registered users as of the
end of Q3 05
 USR participates in five of
Skype’s top nine markets
60
50
40
30
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20
10
0
Sep 03 Dec 03 Mar 04 Jun 04 Sep 04 Dec 04 Mar 05 Jun 05 Sep 05
Source: MorganStanley
These five markets alone
account for 14.5M out of 26M
registered users
Additional USRobotics Skype “Voice over the Internet”
Appliances
USB Internet Speakerphone
USB Internet Phone
USRobotics Skype Appliances
 Designed to provide users with an interface for Internet
calls that compares favorably to using standard
telephones
 Include integrated audio technology that eliminates echo
and voice clipping, providing excellent call quality
 Enhance the quality and value of making free calls all over
the world
 Stimulate new Skype users, while providing enhanced
Internet call quality to 75 Million existing Skype users
USRobotics USB Internet Speakerphone – USR9610
 The USB Speakerphone attaches to a
computer’s USB 1.1 or 2.0 port and allows
hands-free conversation using the Skype
voice communications application
 Available volume controls allow users to adjust
conversation volume
 Integrated head-set plug allows users to
attached a head-set for conversation privacy
 All you need is a PC, broadband connection
and the Skype™ client software
The USRobotics USB Internet Speakerphone is . . .
 Skype Certified to assure maximum compatibility
 A sleek device that delivers high-quality voice
reproduction
 Very compact and durable to safely and easily carry
on business trips and/or vacations
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Universal support – “just plug into to a PC with
broadband and talk”
USB port powered – No need to carry along an extra
power supply
 A high quality audio device delivering improved call
quality when compared to typical PC sound-card
options
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Advanced echo cancellation and noise reduction
technology provide excellent call quality
High-fidelity speaker
USRobotics USB Internet Phone – USR9600
 The USB Internet Phone plugs
into a computer’s USB 1.1 or 2.0
port and allows people to talk
over the Internet for free!
 Utilizes Skype API to work with
Skype communication software
 All you need is a PC, broadband
connection and the Skype™
client software
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USB Phone can also support
additional phone-like services
from MSN, AOL, Yahoo etc.
The USRobotics USB Internet Phone is . . .
 An attractive handset familiar in design to everyone
 Designed to be compact for easily packing on
business trips
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Universal support – “just plug into to a PC with
broadband and talk”
 A natural, “regular phone”, for use with PC technology
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Dial from phone, not PC
By entering a speed dial (i.e. - 08) for a friend or family
member, just dial the digits on the phone’s key pad
LCD Display also shows “Skype” caller id, call status,
time and phone status
Rings just like a normal phone and supports
personalized ring tones
 A high quality audio device delivering improved call
quality when compared to typical PC sound-card
options
Skype Internet Voice Communications
How does it work?
FREE!
Skype Internet Voice Communications
How does it work?
 Start dialer
 Start dialer
 Start dialer
Skype Internet Voice Communications
How does it work?
 Select person to call &
dial (using phone or
application)
 Select person to call & dial
(using Skype application)
 Select person to call &
dial (using phone or
application)
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Also, using Skype or
standard phone line
Skype Internet Voice Communications
How does it work?
Talk for Free!
Talk for Free!
Talk for Free!
Background information – Competitive Glance
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Direct competitor
DLink’s feature set is
identical to ours
USR and DLink are the
only full featured Skype
Certified solutions
found (there could of
course be more)
The real opportunity for
us is to be first to get
mass-market traction .
. . There is no leader
now
Conversation regarding
competition should
focus on standalone
Skype Cordless
solutions versus our TA
plus an end-users
existing cordless
phone
NOTE: The TAs shown
in the chart were found
doing web searches